With many still thinking IR35 will be delayed on ‘Tax Day’ the 23rd March, reports show no signs of IR35 being a topic of conversation. Tax Day is for the Government to publish tax consultations as part of their 10 year administration strategy, to create a tax system fit for the 21st Century.Part of these consultations will include false CJRS claims, which HMRC have already written to 27,000 claimants where there is a high risk that what they have claimed is incorrect. The action and … [Read more...]
The IR35 Facts & Myths
Following the budget announcement, I think I speak on behalf of the entire population; it is a lot to digest and understand. With that said, the Government have predicted that the United Kingdom will return to pre-covid levels by the middle of 2022.As we are all aware, the IR35 reform will be going ahead and those contractors operating through a limited company, deemed to fall inside of IR35, will no longer be able to do so come April 2021. We have already seen some enquiries come through … [Read more...]
Budget 2021 – The key points
Chancellor Rishi Sunak has just revealed the contents of his Budget in the House of Commons.Here are the key points: UK economy forecast to return to pre-Covid levels by middle of 2022 Annual growth set to rebound by 4% this year, followed by 7.3% growth in 2022 Unemployment expected to peak at 6.5% next year, lower than 11.9% previously predicted UK to borrow a peacetime record of £355bn this year. Borrowing to total £234bn in 2021-22 Debt as a share of GDP to fall … [Read more...]
Seven steps to success
The transition from LTD to umbrellaSince the beginning of the New Year, we have seen an influx of enquiries and requests for support from contractors operating through their own limited companies due to the IR35 reform looming.Our seven steps to success have seen a smooth transition for many contractors whom are affected by the changes to the IR35 regulations.What are these steps?Communication – our expert team have the knowledge to answer any IR35 and payroll related … [Read more...]
Immigration law changes, is your business ready?
Following the departure of Great Britain from the EU, the transition period ends in December. From January 2021, new rules will apply.One topic businesses need to ensure they have covered is the immigration law changes, which will affect business that employ workers from the EU.As many businesses will already be aware, EU nationals will have to apply for the EU settlement scheme to continue to live and work in the UK and have until the 30th June 2021 to apply for the scheme.On the … [Read more...]
Scam Advice
A number of people across the UK have fallen victim of HMRC scams such as bogus phone calls, WhatsApp messages, Tax refunds and most recently coronavirus scams.If someone texts, calls or emails claiming to be from HMRC and asks for credit card or bank details it is likely to be a scam. The scams mimic HMRC messages in an effort to look genuine.The most recent scam is via text for a ‘goodwill payment‘ telling customers they can claim a goodwill payment due to the coronavirus. One example … [Read more...]
Summer statement: what you need to know
The Chancellor Rishi Sunak announced measures in the summer statement to help the UK recover from the effects of the coronavirus.Below we have put together a summarised brief of the announcements.Jobs Retention Bonus: If an employer brings back a furloughed employee and keeps them in the job to January, then the Government will pay a £1,000 bonus per employee. Sunak stated, "It's vital people aren't just returning for the sake of it - they need to be doing decent work.”For businesses … [Read more...]
Is PAYE the way forward post Covid-19?
With over 8 million employees in the UK receiving furlough through the CJRS recruitment agencies are seeking alternative options to umbrella but is PAYE the way forward?PAYE V’s UmbrellaMany contractors and agencies get confused by umbrella, umbrella is a form of PAYE where the payroll provider deducts the standard PAYE deductions from the contractors earnings and submits these to the government. The agency provides the contractor with an ‘agency rate’ which is an uplifted rate of pay to … [Read more...]
Has your provider protected your contractors from the CJRS clawbacks?
Following the Chancellors first announcement around the economic support packages, the cost is now at an estimate of £132.5bn.The CJRS was set up as a new wage support measure in response to the Covid-19 pandemic to protect jobs in wake of the impact to the economy caused by the virus and to support employers who had difficulties continuing to pay wages to prevent redundancies being made.So what is the clawback?The government are now looking to recover funds claimed in error or … [Read more...]
Returning NHS workers targeted by tax avoidance promoters
Individuals who are returning to the National Health Service (NHS) to help to respond to the outbreak of COVID-19 have been targeted by immoral promoters of tax avoidance schemes. HMRC is advising affected individuals to be wary of signing up to these schemes.The schemes on offer all have common features, but they may be described in different ways. One consistent element will be that the scheme attempts to disguise the true level of earnings, which should be subject to Income Tax and … [Read more...]